Government increases scope of coal supply source swap

KOLKATA: Public and private sector coal consumers can now swap domestic or overseas fuel sources between themselves to reduce distances over which coal is transported, the coal ministry said in a notification. It will lower power generation costs as well as production costs for the non-regulated sector.

Coal IndiaNSE 0.14 % (CIL) has been appointed the nodal agency for the scheme and savings from the exercise will have to be passed on to distribution companies by power generators. Non-power companies will pass the savings to railways according to the notification.